Insurance & LiensQuestion 469 of 1632
Which type of insurance is specifically designed to cover a structure and its materials against fire, theft, and weather damage WHILE it is still under construction?
a.Commercial general liability insurance
b.Builder's risk insurance
c.Commercial auto insurance
d.Errors and omissions insurance
Explanation
Builder's risk insurance (also called course-of-construction insurance) protects the building project and its materials from physical loss such as fire, theft, vandalism, and certain weather events during construction.
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PrepPass team · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)